As found on SmallBusinessNotes.com
Before signing up for a trade exchange, here are some common sense steps you should take:
- Make a list of what you want to trade and the items you would be willing to accept in return. Choose a barter organization that deals in the items you are interested in trading.
- Ask for a referral list of clients and confirm that they have been satisfied with how their transactions have been handled.
- Find out how many clients and items the barter organization currently has.
- Check the prices for items being bartered to see if the organization is pricing them fairly.
- Find out where the clients from the organization are from. Distance may be a factor in transporting goods. Then, again, you may wish to offers your goods over a broader regional area. Many trade organizations are local, but are part of larger networks of exchanges, providing a wider base for trade.
- Find out what other services the barter organization provides for their percentage of the trade. Common services provided are management of the exchange, brokering the items offered for trade, consulting services and barter information.
- Compare the services offered by a variety of barter services before making the choice.
- Legitimate barter organizations are required to report barter income of each client to tax authorities. Do not do business with any barter organization that does not provide tax reporting.
- Check with the Better Business Bureau about any organization you are considering joining.
A quick check of the Better Business Bureau shows that barter exchanges have differing scores: ITEX gets an A, Tradia gets an F. Be sure to check out who you are dealing with before you get involved.
